Attorneys are inundated with calls from clients struggling to figure out how to deal with broad sanctions imposed on Russia following its invasion of Ukraine while seeking clarity about additional restrictions getting released on a rolling basis.

It will take many weeks for companies to wind down their business with Russian banks and assets that are on their books, said Michael Parker, who heads the anti-money laundering and sanctions practice at law firm Ferrari & Associates.

“What you’re talking about is a full-blown new sanctions program effectively shutting the financial industry of a major state-power out of the U.S. financial system,” said Parker, who previously investigated and prosecuted sanctions violations at the Treasury and Justice departments.

Companies must figure out what goods they can continue sending Russia by obtaining a license or, in the case of private equity firms, identify limited partners and shareholders who’ve landed on Treasury’s list of individuals and companies with whom they can no longer conduct transactions. Known as the Specially Designated Nationals list, the prohibitions extend to any secondary party to which the named SDN owns at least a 50% stake.

“It almost becomes a cascade ripple effect as people come to understand what the rules mean and how that impacts their specific company profile,” said Ama Adams, a partner focused on...

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